Apple Supplier Foxconn Offering Big Bonuses to Alleviate Worker Shortages

[MacRumors]

Apple supplier Foxconn is quadrupling daily bonuses provided to workers in order to retain enough employees to continue assembling iPhones, reports Reuters. In November, Foxconn is offering workers at its Zhengzhou plant a bonus of 400 yuan per day ($55), up 4x from the normal 100 yuan bonus.

Employees who work for more than 25 days can get a maximum bonus of 5,000 yuan for the month, up from 1,500 yuan, and those who put in "full effort" can earn a bonus of over 15,000 yuan. Most workers earn between 3,000 and 4,000 yuan on a monthly basis.

Foxconn employs around 200,000 people in Zhengzhou, the factory that is used for most of its iPhone production. Foxconn is responsible for assembling around 70 percent of the iPhones that Apple sells, and it has been struggling to keep employees on site due to COVID lockdowns.

Because of China's zero-COVID policy, Chinese cities are required to quickly quell outbreaks through restrictions, and with COVID spreading in Zhengzhou, workers have wanted to return home to avoid being stuck at the factory should there be a more stringent lockdown. Workers have also been unhappy with restrictions at the factory, such as the closure of the dine-in cafeteria, and a shortage of supplies that caused a panic.

Employee issues at the Zhengzhou plant could cause iPhone output to fall as much as 30 percent, though Foxconn is working to mitigate the supply issues by offering the bonuses and ramping up production at another factory in Shenzhen.

Article Link: Apple Supplier Foxconn Offering Big Bonuses to Alleviate Worker Shortages

 

[Mr. Dee]

I prefer 55 per hour thank you.
I also need 15 minute breaks on the hour.
An emotional space where I can process my thoughts.
Week ends off and generous PTO.

 

[ghanwani]

How much is the pay?

 

[squirrellydw]

$55 bonus, Sad

 

[citysnaps]

$55 bonus, Sad

Why is it sad?

 

[DigitalAR]

Why is it sad?

Because it’s slavery.

 

[ProfessionalFan]

Compared to their regular pay, this is a big bonus. Sad but true.

 

[citysnaps]

Because it’s slavery.

Can you further elaborate taking into account cost of living and other factors for the area and wages for other kinds of available work?

 

[contacos]

Can’t imagine much worse than sleeping where you work cuz u r not allowed to leave for who knows how many weeks because a random was potentially maybe or not exposed to Covid days ago

 

[KENESS]

Because it’s slavery.

$55 BONUS... PER DAY... is slavery?

That wouldn't be half bad HERE for an awful lot of jobs. And factory assembly line work, no matter how you slice it, isn't one of the most high paying jobs anywhere.

 

[ProfessionalFan]

$55 BONUS... PER DAY... is slavery?

That wouldn't be half bad HERE for an awful lot of jobs. And factory assembly line work, no matter how you slice it, isn't one of the most high paying jobs anywhere.

Someone tell this person how many hours a day a Foxconn worker typically does and the working conditions as well. Thanks.

 

[Jumpthesnark]

Coincidentally, as I saw this story I was listening to "When Will We Be Paid" by the Staple Singers.

 

[KENESS]

Someone tell this person how many hours a day a Foxconn worker typically does and the working conditions as well. Thanks.

I'm not ignorant of the overall situation. But a $55 BONUS, per day, is not a bad bonus, even here, for a comparable job. That is my point.

 

[sw1tcher]

Because it’s slavery.

Someone tell this person how many hours a day a Foxconn worker typically does and the working conditions as well. Thanks.

So you're going to boycott Apple until they stop contracting with Foxconn or Foxconn treats their employees better, right?

 

[contacos]

$55 BONUS... PER DAY... is slavery?

That wouldn't be half bad HERE for an awful lot of jobs. And factory assembly line work, no matter how you slice it, isn't one of the most high paying jobs anywhere.

Tbh here in Germany assembly line workers make a lot of money. I made 1,2k Euro a month in 2011 as a basic summer job student but yes I agree, 55$ per day is not bad at all

 

[Ryan H]

Surely they need to diversify production rather than rely on China and their constant lockdowns.

 

[DownUnderDan]

$55 BONUS... PER DAY... is slavery?

That wouldn't be half bad HERE for an awful lot of jobs. And factory assembly line work, no matter how you slice it, isn't one of the most high paying jobs anywhere.

The US is well behind many western countries these days on wages, salaries and conditions for the bulk of its workforce, so that really isn't a good comparison.

 

[Realityck]

Surely they need to diversify production rather than rely on China and their constant lockdowns.

Foxconn has 137 campuses and offices in 24 countries and areas around the globe. The majority of Foxconn's factories are located in East Asia, with others in Brazil, India, Europe, and Mexico

Foxconn - Wikipedia

en.wikipedia.org

 

[sw1tcher]

Surely they need to diversify production rather than rely on China and their constant lockdowns.

Apple's been moving some production to India, Vietnam, Brazil, Mexico, and yes, even the U.S.

Apple Starts Assembling iPhone 13 in Brazil

A Brazilian national who recently bought an iPhone 13 was surprised to find out that the unit was made in Brazil.

www.macobserver.com

Apple to move 25% iPhone production to India by 2025, 20% iPad and Apple Watch to Vietnam, analysts say | TechCrunch

Apple began assembling some of its devices in India and Vietnam a few years ago, slowly cutting its reliance on China. The Cupertino-giant is now gearing up to make the two nations key global manufacturing hubs.

techcrunch.com

It will be a slow process and won't be easy according to

Apple's manufacturing moves away from China are a drop in the ocean

Matching the scale of Chinese operations is a gargantuan task even for the world's most valuable company.

qz.com

Apple Suppliers Add Manufacturing Sites in U.S., With Focus on California

Partners of the iPhone maker seek to stay nearby as the pandemic has made travel to China difficult.

www.wsj.com

 

[LeeW]

Surely they need to diversify production rather than rely on China and their constant lockdowns.

They are, just takes time to find countries where they can get cheap workers. If they ever had to put production into the West they would be in big trouble with the cost they would face. That and Tim would need a supply of paper bags due to the amount of hyper-ventilating he would be doing at having to pay it.

 

[Red Oak]

I’m pretty sure this is more than the average MR commenter earns!

 

[Villarrealadrian]

Yes people talking about slavery, meanwhile buying apple products, don't feel sad, be happy, you ARE part of the problem!!

 

[M5RahuL]

$55 bonus, Sad

Given the poverty in China, this is pretty darn good!

 

[ProfessionalFan]

Yes people talking about slavery, meanwhile buying apple products, don't feel sad, be happy, you ARE part of the problem!!

Well considering you're an active member of an Apple website, I have to assume you also are buying apple products and therefore are "part of the problem".

 

[M5RahuL]

Yes people talking about slavery, meanwhile buying apple products, don't feel sad, be happy, you ARE part of the problem!!

IKR. Armchair comments are amazing!!